Elon Musk says Twitter may go bankrupt

During an emergency meeting on Thursday, November 10, Elon Musk told Twitter employees that the company could theoretically go bankrupt in 2023. Musk made the announcement when his subordinates asked about the current state of affairs on the platform. The billionaire also warned employees that if they were not physically in the office for 40 hours a week, they should resign. Musk has previously been adamant about the office work of the Twitter team, although previous CEOs did not attach importance to this, and employees could be anywhere.

In recent days, a number of top managers have left Twitter, including Chief Information Security Officer L. Kissner, Head of Sales and Advertising R. Wheeler, and Head of Trust and Security J. Roth.

Twitter currently has debts of $ 18.5 billion. Musk is trying to solve the problem by introducing payments for verified accounts. However, this will have a dramatic impact on the situation. The billionaire has warned employees that Twitter may have a cash deficit of more than $ 1 billion next year. If the platform does not raise additional funding, the social network risks declaring insolvency.

There is an assumption that the recent sale of Tesla shares for $ 4 billion was necessary to save Twitter. From now on, the eccentric businessman owns only 14% of the electric car company. Musk has warned Twitter users that «a lot of nonsense» will be happening on the social network in the coming months, as it is related to a number of experiments with the platform’s functionality. However, not all users may like it.